The Johannesburg Property Company (JPC) has been hijacked, riddled with corruption and is run by a criminal gang. That’s according to Joburg Economic Development MMC Nkululeko Mbundu who was briefing the media in Johannesburg.
He says Joburg entity, whose mandate is to manage and develop the city’s property assets, is collectively owed R140 million including by government, informal traders, residents in rental fees and for outdoor advertising.
Last month, the JPC board chairperson was fired for failure to implement the recommendations of a Special Investigating Unit investigation into allegations of corruption and misuse of public funds.
SIU wants criminal charges against Johannesburg property company execs:
Mbundu says he is already receiving death threats, but he won’t be deterred in his quest to fix the JPC.
He has described what is happening at the JPC as one of the biggest heists the city has ever witnessed.
“Now, what is happening in this institution is, they give leases to their friends at ridiculously undervalued amounts who then flip and sublease at exponential amounts which then comes back as legitimate rental income. Let me give an example, you get a lease for R500 on a prime property and you go and rent it out for R100 000. And that is seen as legitimate income. That is why a lot of top politicians are frequently at the Joburg Property Company, literally in the building.”
